by The global Construction Aggregates Market is estimated to be valued at US$ 528.09 Bn in 2023 and is expected to exhibit a CAGR of 4.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Construction aggregates comprise crushed stone, sand, gravel, recycled concrete, and other granular materials which are commonly used in the construction industry to make foundations, buildings, and infrastructure such as roads, highways, bridges, dams and other structures. Construction aggregates are one of the most abundant natural resources and provide load-bearing strength, while being chemically inert, cost-effective and locally available. There is a growing global demand for construction aggregates owing to large-scale investments in infrastructure development projects, industrialization, and urbanization worldwide.
Market key trends:
One of the key trends in the construction aggregates market is increasing adoption of recycled construction and demolition waste. Rapid urbanization, industrialization and infrastructure growth have led to massive construction waste worldwide which is contributing to environmental pollution. Thus, there is a rising trend of recycling and reusing demolition waste to manufacture new construction aggregates. This trend reduces landfill costs and leads to more sustainable construction practices. Furthermore, the market is witnessing growing importance of customized aggregates as per specific construction project requirements. Manufacturers are developing specialized aggregate mixtures tailored for wear-resistant road bases, light-weight concrete, and other applications. Additionally, market players are focusing on digitalization and utilizing advanced data analytics to optimize aggregate production processes and supply chain management. This improves efficiency, ensures product quality control, and aids real-time decision making.
Porter’s Analysis:
Threat of new entrants: The threat is moderate as the construction aggregates market requires significant capital investments for resource extraction and processing infrastructure. New entrants also need to achieve economies of scale to compete with existing players.
Bargaining power of buyers: The bargaining power of buyers is high due to the availability of substitutes and undifferentiated nature of construction aggregates. Buyers can easily switch between suppliers based on price and quality.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as players control resources through long-term contracts and licenses with miners. Suppliers also have less switching costs.
Threat of new substitutes: The threat is low as construction aggregates have few substitutes for their applications. However, recycled aggregates from construction and demolition waste are gaining traction.
Competitive rivalry: The market is highly competitive due to large number of global and regional players. Players compete based on price, product differentiation, quality, and customer relationships.
Key Takeaways:
The Global Construction Aggregates Market Size is expected to witness high growth, exhibiting CAGR of 4.8% over the forecast period, due to increasing infrastructure development activities around the world.
Regional analysis: Asia Pacific dominates the global market, with China holding the major share, due to massive government investments in infrastructure projects. Western Europe and North America are other major markets driven by transportation infrastructure projects.
Key players operating in the construction aggregates market are China Resources Cement Holdings Limited, EuroCement Group, Vulcan Materials Company, LafargeHolcim, LSR Group, Adbri, Cemex, Heidelberg Cement AG, and Martin Marietta Materials. Key players focus on capacity expansion, mergers & acquisitions and digital innovation to gain competitive advantage.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
